Gonna try again later but just to clarify, what instructions should I be looking at? Balls.. just after noticing it only supports WEP. I'm using WPA2 on my routers and all wireless devices around my house!

I have bought a new dongle with Zydas chipset and it is now undergoing the field test:). But I will most certainly try your new version if this field test fails.

I have already looked at the site you refer to. I do not think it is related to my problems. If you remember I tried to reboot my router and change my router channel. The dongle managed to reconnect in both cases. My best guess is some memory corruption.

If I compile the latest drivers from rt2x00.serialmonkey.com.. will that do any good?

Dunno - you're more than welcome to try. I got lots of error when I tried to compile them as they're written for a later version of the linux kernel (needs to be backported I think).

I tried to compile the last legacy drivers from serialmonkey for rt73 chipset. It compiled ok without any complains but I could not use it. It complained about missing firmware and I had copies both in /lib/firmware and /etc/firmware. After that it just crashed with misalignment error and kernel stack dump. I believe I could deal with the firmware but I do not have any experience with MIPS to try to find out why that misalignment occured.